Papers Relating to the Foreign Relations of the United States, 1923, Volume II

462.00 R 296/72a: Telegram

The Secretary of State to the Ambassador in France (Herrick)³⁴

Washington, November 9, 1923—6 p.m.

414. Jusserand today made further statement with respect to limitations which Poincaré desired in proposed reparation inquiry, as follows:

Jusserand said that he understood that France was not isolated and that Belgium was standing with her.

That Poincaré felt that the period of seven years was as far as the inquiry should go.

That with respect to the Ruhr, the experts would be free to calculate resources, the value of establishments and industrial plants and productive power; and that such an inquiry would be quite useful.

I said that I understood that Poincaré insisted that the examination of the experts should not go beyond the year 1930. Jusserand said that this was correct. I asked whether with respect to the Ruhr Poincaré still held as stated by Jusserand at last interview, that the experts could not consider legality of occupation, nor system of collection of taxes established by the French, nor the guaranties seized, nor the agreement with industrials. The Ambassador said that this was correct. I then said that in communication to the British of October 15th, in which the attitude of the United States Government was fully set forth, it was stated that present conditions made it imperative that a suitable financial plan should be evolved to prevent economic disaster in Europe, that it was with this object that an expert inquiry had been suggested with respect to the crucial question of reparations; that the purpose was to consider the questions of the capacity of Germany to make reparation payments and an appropriate financial plan for securing such payments; that the inquiry was to be wholly advisory and none of the governments was to be required to commit itself in advance, the object being to secure appropriate recommendations. I said that the question was not whether an inquiry with the limitations upon which Poincaré insisted would be useful for any purpose, but whether it would serve the purpose in view, that is, to aid in the development of a suitable plan which would permit economic recuperation in Europe.

I told Jusserand that in the opinion of this Government the limitations insisted upon by Poincaré would frustrate the purpose of the inquiry suggested in my communication of October 15th.

Have stated the substance of above to the press.

Repeat to Rome as Department’s 112.

Hughes

34. The same telegram was sent, with omission of last sentence, to the Ambassador in Great Britain as no. 332 and to the Ambassador in Belgium as no. 78.